Here's Why Aehr Test Systems Rocketed Higher Today

MrDecoder · 2026-02-24T20:46:45+00:00

Aehr Test Systems' stock rose over 14% due to optimism about its pivot to AI processor testing solutions, increasing expected orders, and stabilization in the EV market, leading to improved investor confidence.

MrDecoder

2026-02-24 20:46:45

Abstract generation in progress

Aehr Test Systems (AEHR +13.05%) stock surged higher by more than 14% as of 2:25 p.m. today. If you are wondering why the stock has performed so well recently (up 94% in 2026, as I write), it largely comes down to growing optimism (backed by evidence) that the company will fulfill the potential outlined in its earnings presentation in early January.

Aehr Test Systems pivots to the AI market

The company makes semiconductor test and burn-in solutions that semiconductor manufacturers rely on to ensure the quality, consistency, and reliability of their production. Its former core market was in Silicon Carbide (SiC) chips, whose main end market is electric vehicles (EVs). That market boomed with the rush to invest in EVs a few years ago, but has slowed as automakers have reset their expectations in a lower-than-expected growth environment for EVs.

Image source: Getty Images.

Consequently, Aehr pivoted toward test systems for AI processors and secured an as-yet-unnamed lead customer described as “one of the premier large-scale data center hyperscalers that is developing its own AI processors and significantly expanding this capacity.”

That said, the market always wants to see orders, not least as Aehr Test Systems is still loss-making.

Orders coming

Expectations of future orders were raised in the second quarter earnings presentation in early January when CEO Gayn Erickson told investors to expect bookings “between $60 million and $80 million” in the second half of its financial year, compared to just $6.2 million in the second quarter and $11.4 million in the first quarter.

Expand

NASDAQ: AEHR

Aehr Test Systems

Today’s Change

(13.05%) $4.48

Current Price

$38.80

Key Data Points

Market Cap

$1.1B

Day’s Range

$34.42 - $40.00

52wk Range

$6.27 - $40.00

Volume

2.3M

Avg Vol

Gross Margin

33.28%

One month later, Aehr announced "an initial production purchase order from its lead production customer,"as its orders are starting to flow.

Given the recent commitments by hyperscalers to massively ramp spending, there’s no indication of any slowdown in AI-related spending, and investors continue to price in the expectation that Aehr will achieve its goals. Throw in a stabilization in the EV market, and investors continue to bid the stock higher.

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.